Fred Jacobs

One surefire highlight of the Worldwide Radio Summit this week -- and every Summit before this - will be the presentation of Jacobs Media's Techsurvey, where Pres./Founder Fred Jacobs will offer attendees revelations on the latest trends in technology consumption and radio. While it would certainly be inappropriate to pre-empt his presentation here, after contributing Techsurvey data nuggets in All Access' Net News section all last week, Fred was kind enough to take a deeper dive into those revelations here. Dig in!

• Data Nugget: There's more app usage by consumers.

How should radio view this? Does it reflect the importance of a full-functioning app, or the importance of marketing your app on how best to use it?

It's all of that. The good news is that radio listeners appreciate apps that work well and perform as promised. But now that we're a decade into app development, stations that "mailed in" their apps are very likely seeing less usage as well as deletes. The good news is that people are using apps - a lot. But the bad news is that only a handful of apps are used a lot.

Have you found similar characteristics of the apps that are used a lot? You mentioned ease of use, but what else is important ... a high-profile host? Controversial subject matter? Or is it more incumbent on better marketing and promotion of the app?

It comes down to two things - the power of the individual radio station brand and the strength of its connection to the audience ... AND the degree and creativity they use to promote it. We clearly see a very direct relationship between promotional frequencies and downloads. Once listeners have your app, it comes down to reminding them how they can use it to access your station's content wherever they are.

• Data Nugget: There's a greater concern about privacy online, which has led some to close their Facebook accounts.

How does this reflect on radio? Is this a warning sign to the efforts to generate listener information?

I don't think any radio station is in a position to promise anything as it regards Facebook. Remember, we don't own or control Facebook. We're just squatting there. Radio has the chance to let its interacting do the talking. Keep it clean, fair, and stay away from anger and arguments. Social media used to be a fun, safe space. Our data suggests consumers are rethinking their social media relationships.

Has Techsurvey or any of your past studies suggest that radio should exert more oversight into the social media efforts of their staff - to minimize potential disruptions?

Techsurvey suggests that acknowledgment by personalities is the #1 thing. Many stations have very loose social guidelines, and our data is good reinforcement to establish policies for who is doing the social messaging and how they're doing it.

After more than a dozen years in which social media has been gaining in importance for radio, stations and companies should be doing a better job of setting standards for what and when they post.

• Data Nugget: Radio as a primary music discovery source is down considerably.

Is this a repercussion from current radio programming practices, or are outside forces (streaming, satellite, etc.) simply offering more and different new music to sample?

Radio's slippage is very likely a confluence of many factors. Self-imposed conservatism as a result of the ratings is a likely culprit. But in a world where new music discovery is occurring on myriad platforms, it's not surprising to see broadcast radio continuing to slip.

Do you think it should be important for a current-music station to be the primary music discovery source?

I don't get any sense from the research that new music is any more or less important than it's ever been. It's just that the distribution outlets have changed.

If new music discovery is not as imperative or shouldn't be imperative to a contemporary-music station any more, should those stations be programmed differently to reflect that?

It becomes harder for radio to truly expose new music in the way it did a decade or two ago. But consumers are still looking for context and curation - values radio provide better than its digital competitors. Perhaps it's more a matter of reassessing the ways in which stations present the new music it chooses to expose - and then excel at that.

• Data Nugget: There's still a strong listener interest in station merch. Do you think radio, in its cost-cutting frenzy, essentially "bit its nose to spite its face" by cutting back on merch?

We don't specifically know which merch is most desirable from this data. But we did learn that many station fans are desirous of purchasing branded logo items. This represents both a financial and marketing opportunity for solid radio brands. And given how little merch is produced in most markets by today's radio outlets, a station with a plan could have a significant impact in this space.

Should radio create more "collectible merch" for one-time events, etc.?

While not in Techsurvey, focus and LAB groups I've conducted suggest that merch that is produced around an event (like a station music festival) can be very hot, in much the same way music acts generally profit from selling shirts, hats, and other items at their concerts and events.

• Data Nugget: Satellite listening cuts into AM/FM listening. Why just target satellite? Wouldn't this also apply to streaming services, a la Spotify and Pandora? And how would you expect radio to respond?

Streaming services have an impact, but Techsurvey shows the impact from satellite radio is significant - especially in the car. When you keep in mind that cars are the #1 listening location for broadcast radio, our data on satellite radio is eye-opening. Consider that with Alexa integration and the acquisition of Pandora, SiriusXM is moving into homes and mobile devices in a big way.

We can debate whether satellite radio deserves a response, but broadcast radio has inherent advantages - no subscription fees, for starters. It's also local, and (hopefully) has personalities who matter. But in newer cars where SiriusXM is offered for free for a few months or longer, it has become a formidable competitor.

• Data Nugget: More people are hearing radio spots for smart speakers. Now that people are hearing the spots, how can Techsurvey -- and radio programmers -- measure their effectiveness?

Many radio stations (and the companies that own them) are seeing smart speakers becoming a bigger factor in their streaming numbers. In last year's Techsurvey, we felt that data that measured whether audiences have heard promos for smart speakers was weak. We responded with strong recommendations for radio to step it up.

This year's results indicate the messaging is working. Marketing smart speakers - and more to the point, voice - is key, especially has Amazon has launched an after-market product - Echo Auto - that you can purchase for your car for under $30.

The sale of smart speakers continues to rise. TS19 tracks overall ownership at 27% -- moving at iPhone speed. But this data doesn't take into account all the devices integrated with voice. We also track how consumers are using voice in other places - their smartphones, their cars - to access the content that matters to them.

In the same way, radio "taught" audiences to make stations a preset or they reinforced their calls/frequencies/slogan in the old Arbitron days, rethinking messaging and marketing for voice command devices is an imperative.

Podcasts are rapidly becoming ubiquitous in terms of the sheer number of them and the rate they're still launching. From your study, what is the next step for its assimilation and usage?

Our podcasting data in Techsurvey 2019 will generate much discussion and debate - a good thing. We actually see a tick-down in overall audience, but - and this is important - among those who listen to podcasts, this activity is becoming habitual. And it has a negative impact on their radio listening.

Radio is largely repurposing programming for podcasts. Does that data in Techsurvey indicate whether they should develop more original podcasts?

As for which types of podcast content are best, it's a station or a company decision. Techsurvey breaks out the genres that are most appealing by format - and even by individual station, which no other survey provides. So, that is a solid guide for radio broadcasters.

Repurposing programming for podcasts has proved to be a simple, inexpensive strategy, but stations need to ask themselves whether they're doing it in the most accessible, seamless ways. As for creating great, original, and successful podcasts, many in radio are slowly realizing this is a tough putt. And many have failed to launch viable podcasts that attract a substantial audience.

With the deluge of podcast product now out there, is there a danger of new podcasts becoming veritable needles in a haystack? If so, how will podcasts have to differentiate itself and make itself known? More promotion and marketing?

We're going to learn a lot about how the confluence of broadcasting and podcasting work, especially as we watch iHeartMedia and Stuff Works, as well as the initiatives that companies like Entercom, Hubbard and smaller companies like Midwest Communications are engaged in. The stakes for everything are going up, and not every broadcasting company has the resources or the stomach to play the game.

You'll be holding a podcast convention later this summer in Orlando. What issues to you plan on delving into there and what do you hope to accomplish?

Our agenda for "Broadcasters Meet Podcasters" track has expanded to three days, and it will differ in some important ways from what we've presented the past few years. We'll have sessions on turning podcasts into multi-media brands, live events, as well as some exciting new research we'll be unveiling at the conference. We had record-setting attendance last year from the broadcast radio community, and we're expecting an even bigger turnout in Orlando this year.

For years, research experts have churned out studies that show radio beating all other media due to its superior reach. Nevertheless, advertiser money keeps flowing to digital platforms at the expense of radio. Is the reach data simply irrelevant in terms of generating more ad buys? Does reach mean less to advertisers now than ever before?

Radio's reach, while impressive, has been falling short in the ad world for some time now. They're looking for attribution - evidence that marketing is reaching the right people and generating a result. The days of "spray and fray" - spending several thousand dollars at reaching a cume - are fading. That's why many radio broadcasters are test driving attribution tools to provide proof that radio actually works.

More than a few radio pundits and researchers assert that advertisers are essentially being misled by younger agency buyers who ignore mature media for the latest new digital toy ... or who live on the coasts (like elites) and don't see the impact radio has everywhere. If this is true, that means 1) these agency buyers aren't serving the people who are paying their salaries (the advertisers); and 2) the advertisers don't even know what's good for them and that the people they hired to increase their business aren't doing a good job. Could all this be true?

Many of today's buyers and planners discount broadcast radio's efficacy. They don't believe it continues to have the impact and reach that it truly does. As I've heard at many conferences over the past few years, this is one of the downside of pitching media executives in midtown Manhattan where in-car listening simply isn't as robust as in LA, Chicago, Boston, or even Wichita.

If the agency buyer decisions on ad placement aren't generating optimum return for their clients, why would advertisers keep hiring and using them?

THAT's an existential question. I've wondered it a lot myself. The only explanation I can offer is that the client -- the account people -- don't know enough to question what their agencies are doing. I know that sounds like a shallow response, but I think it's like any professional firms, be they accounting, advertising or investment ... you trust the experts. As we know from experience, that's not always a smart policy.

So how can radio combat what seems to be a virtual "blind leading the blind?"

I firmly believe many agencies are doing their clients a disservice by veering away from traditional media like radio. Every outlet provides unique benefits, and it's incumbent on clients and station sales reps to work together to create viable campaigns that takes optimal advantage of the medium as well as the station's brand equity.

Radio is also being handicapped by audience measurement that fails to combine all the different distribution outlets in play that deliver content -- streams, apps, voice, podcasts - as they are all part of most station's distribution networks. Techsurvey 2019 shows that an increasing percentage of listeners are accessing their favorite stations in these new media places. Sadly, radio isn't getting the credit -- or the money -- it deserves.

That said, Techsurvey also focuses on those who are spending less time listening to broadcast radio. Programmers and talent would be wise to dig into the data to strategize solutions to many of these important new challenges.

Techsurvey indicates that broadcasters need to look beyond competing against other stations in the market, and see the bigger picture. The landscape has rapidly expanded, and broadcasters need to adapt accordingly.